GEM optimizes asset structure and sells equity in three subsidiaries

GEM, a leading company in the power battery recycling industry, recently announced that its holding subsidiary Green Cycle has signed an equity transfer agreement with Henan Recycling Group. According to the agreement, Green Cycle intends to transfer its 100% equity in Henan Green Cycle, 90% equity in Shanxi Hongyang Seagull and 100% equity in Inner Mongolia Xinchuang to Henan Recycling Group. The equity transfer will bring about 922 million yuan of capital back to GEM, which will help reduce the company's debt ratio and increase development funds, thereby enhancing the company's competitiveness and profitability.